For all ‘developing’ countries, total external debt owed in 2011 was $4.9 trillion and over the course of that one year they paid $620 billion servicing these debts.* in the same year, the total foreign aid supplied to the ‘developing world’ through the Development Assistance Committee of the OECD was just $133.5 billion.*
This means that, in 2011 alone, for every $1 the creditor nations gave the so-called ‘developing world’ in foreign aid, the debtor nations gave almost $5 back in debt repayments.
The whole premise of international development is called into question when the nations involved are giving with one hand while taking five times as much as the other. Rather than the mainstream narrative – of advanced industrial nations helping to ‘develop’ inexplicably backward Third World nations, the mask is off. There is no ‘developing’ world. Instead there are a host of countries being deliberately decivilized, in order that corporatised states benefit economically and geopolitically. The Debt Trap has been used to reorientate national economies to the service of unsustainable and unethical debt burden, in order to transfer wealth to the creditor institutions and nations.
– Austerity: The Demolition of the Welfare State and the Rise of the Zombie Economy – Chapter One – Kerry Anne Mendoza
*Jubilee Debt Campaign
* OECD, nin.tl/TNpTnl (via phil-of-phillage)
And then there’s the fact that many many of these debts were first accumilated either while casting off colonialism or are direct ‘reperations’ payed to the colonizer for the ‘damage’ done by the struggle for independence.